The Russians predicted the increase in tariffs for housing and communal services

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Photo: Natalia Seliverstova / RIA Novosti

In Russia, two percent can grow the total amount in the payment of utilities. The proposal was made by the Ministry of economic development, reports the newspaper “Izvestia”.

The Agency proposed to increase tariffs for the same percentage points, which was increased by VAT. Thus, despite the increase of the total amount of the services themselves not expensive, and their suppliers will not receive any additional funds will increase only the amount included in the payment of the tax.

It is argued that this is necessary in order to deteriorated financial condition of utility companies. Otherwise, the Ministry noted, the losses of public utilities in 2019 can reach 100 billion rubles, and the amount of debt in the industry will grow to 1.5 trillion.

The Federal Antimonopoly service refused to comment on the proposal, noting that “there is a discussion of this issue.”

On 3 August the President of Russia Vladimir Putin signed a law according to which the current rate of value added tax (VAT) increases from 18 percent to 20 percent. According to the financial-economic justification to the law, the VAT rise by two percentage points will lead to additional budget revenues in the amount of 620 billion rubles a year. It is expected that additional income will be used to Finance education, health and infrastructure.

The previous indexation of utility tariffs in Russia on 1 July. It was noted that the increase in utility fees could rise to four percent, while the regions entrusted to determine the positions for the price hike.

Video, photo All from Russia.



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